HB4626 93RD GENERAL ASSEMBLY

LRB093 18507 BDD 44224 b

93RD GENERAL ASSEMBLY
State of Illinois
2003 and 2004
HB4626

Introduced 02/04/04, by Wyvetter H. Younge

SYNOPSIS AS INTRODUCED:

New Act
30 ILCS 105/5.625 new

Creates the Community Investment Corporation Development Act. Creates the Community Investment Corporation Development Commission within the Department of Commerce and Economic Opportunity. Sets forth procedures for appointments to the Commission and sets forth procedures for its operation. Requires the Commission to make annual reports to the Governor and the General Assembly concerning the establishment and operation of community investment corporations. Requires the Department of Commerce and Economic Opportunity to develop and maintain a program to make grants to communities seeking to establish community investment corporations. Requires the Commission to seek out funding sources to enhance the development of community investment corporations. Amends the State Finance Act to create the Community Investment Corporation Fund.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning economic development.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Community Investment Corporation Development Act.

Section 5. Definitions. As used in this Act:

"Community investment corporation" means a for-profit, citizen-owned, professionally managed real estate planning and development corporation that may (i) receive title to land, natural resources, or physical infrastructure donated by a not-for-profit organization or government entity, (ii) borrow money on behalf of its shareholders, who are the registered voters in a local or regional area, to purchase land, plan its use, and develop the land for productive purposes, and (iii) enable the citizen-shareholders to gain a definable ownership interest in local real estate, share in appreciated land values and profits from the lease and sale of real estate, and have a voice in the governance of future land development.

"Commission" means the Community Investment Corporation Development Commission established in Section 10.

"Department" means the Department of Commerce and Economic Opportunity.

Section 10. Community Investment Corporation Development Commission.

(a) The Community Investment Corporation Development Commission is created within the Department.

(b) The Commission shall consist of 11 members appointed by the Governor, with the advice and consent of the Senate, one of whom shall be designated as chair of the Commission at the time of appointment.

(c) Of the members initially appointed, 3 members shall serve a term of one year, 3 members shall serve a term of 2 years, 3 members shall serve a term of 3 years, and 2 members, one of whom must be the chair, shall serve a term of 4 years. Thereafter, all terms shall be for 4 years.

Section 15. Operation of Commission.

(a) The Commission may begin to conduct business upon the appointment of a majority of the voting members, including the chair.

(b) The Commission may adopt bylaws, and it may establish committees and officers as it deems necessary.

(c) For purposes of Commission meetings, a quorum is 6 members. Meetings of the Commission are subject to the Open Meetings Act. The Commission must afford an opportunity for public comment at each meeting.

(d) Commission members shall serve without compensation, but may be reimbursed for their reasonable travel expenses from funds available for that purpose. The Department shall provide staff and administrative support services to the Commission.

Section 20. Recommendations concerning community investment corporations. The Commission shall gather information and make annual reports of recommendations to the Governor and to the General Assembly regarding the establishment and operation of community investment corporations. The reports must include recommendations concerning, without limitation:

(1) establishing policies regarding community investment corporations;

(2) approving community investment corporations in the State or regionally;

(3) establishing guidelines for local referenda to determine the participation plan for allocation, shareholder governance rights, and repurchase of shares of community investment corporations; and

(4) establishing tax incentives for community investment corporations in order to encourage their use and effectiveness.

Section 25. Funding sources.

(a) Subject to appropriation, the Department shall develop and maintain a program to make grants to communities seeking to establish community development corporations. The procedures for grant application shall be established by the Department by rule.

(b) The Commission, as a vital part of its function, shall seek funding sources to make grants and otherwise enhance the development of community investment corporations. The Board shall seek local, State, and federal funding as well as private funding, whether in the form of grants, loans, or otherwise. The Department shall advise the Commission of all available sources of funding for economic development that it is aware of and shall assist the Commission in securing this funding.

(c) Funds received under this Section shall be deposited into the Community Investment Corporation Fund, a special fund in the State treasury. Subject to appropriation, moneys in the Fund shall be expended for the purposes of this Act.

Section 30. Rules. The Commission and the Department may adopt rules necessary to implement and administer this Act.

Section 90. The State Finance Act is amended by adding Section 5.625 as follows:

(30 ILCS 105/5.625 new)

Sec. 5.625. The Community Investment Corporation Fund.